Gas consumption by the European Union (EU) countries in October 2023 increased by 5.1% year-on-year, to 23.6 billion cubic meters amid a revival in the industrial sector and electricity production. At the same time, pipeline gas imports to the EU fell by 21% last month, and China's gas consumption increased by 5% in September, according to a report by the Gas Exporting Countries Forum (GECF).
In general, the total gas consumption in the EU in January — October decreased by 6% compared to the same period last year and amounted to 264 billion cubic meters.
In October 2023, gas consumption in the European Union returned to an upward trend after a decline in the previous month. Consumption increased by 5.1% compared to the same period last year and amounted to 23.6 billion cubic meters. This growth was primarily due to the return to the active work of the industrial sector. As gas prices declined throughout the year, demand in the industrial sectors of several EU countries began to recover, although it did not reach the level observed in previous years. In addition, the electricity generation sector, especially in Germany and Italy, has shown signs of recovery.
In particular, gas demand in Germany in October increased by 6.6% to 5.3 billion cubic meters; in Italy — by 1.7% to 4.4 billion cubic meters; in France — decreased by 14% to 2 billion cubic meters; in Spain — by 11% to 2.3 billion cubic meters. The UK reduced gas consumption by 5.5% to 4 billion cubic meters. In September, China's total gas consumption increased by 5% year—on—year to 32 billion cubic meters (in January — September 2023, demand increased by 7.1% to 292 billion cubic meters).
Pipeline gas imports to the EU in October amounted to 13.7 billion cubic meters, which is 27% higher than in September, and at the level of the indicator a year earlier. In general, in January — October 2023, pipeline supplies to the EU decreased by 27% to 128 billion cubic meters. According to the GECF, only 22 billion cubic meters of this volume accounted for deliveries from Russia (a drop of 63%), from Norway — 69 billion cubic meters (-13%), 25 billion cubic meters were delivered from Algeria, and the remaining volumes — from Azerbaijan and Libya. The share of Norwegian gas in the total volume of pipeline supplies in 2023 is 54%, Russian — 17%.
LNG supplies to Europe last month for the fourth month in a row decreased year—on-year - by 6.5%, to 9.5 million tons. The reduction in LNG imports was due to high gas reserves, lower demand and the difference in spot prices between the Asia-Pacific region and Europe, which makes spot supplies to the Asia-Pacific region more attractive. LNG imports by Asian countries increased by 5% to 21.01 million tons. In total, in January — October 2023, Europe imported 102.1 million tons (+1.5%), Asia - 214.94 million tons (+3.2%).
Global LNG exports in October increased by 3% year—on-year to 34.7 million tons. In general, since the beginning of the year, global LNG exports have grown by 3.5% to 339.2 million tons.
The largest suppliers of liquefied natural gas in October were the United States, Australia and Qatar. Russia is in fourth place, according to the GECF report.
